RBI Approves Salee Sukumaran Nair as MD & CEO of Tamilnad Mercantile Bank [Current Affairs]

The Reserve Bank of India (RBI) has approved the appointment of Salee Sukumaran Nair as the Managing Director and Chief Executive Officer of Tamilnad Mercantile Bank (TMB) for a three-year term. Nair, a seasoned banker with over 35 years of experience, is stepping into this role following his tenure as Deputy Managing Director and Chief Credit Officer at the State Bank of India (SBI). His appointment comes after the bank was temporarily overseen by a three-member Committee of Executives (COEs) due to the RBI’s earlier rejection of proposed candidates.

Background and Career Overview

Banking Career: Nair began his career in 1987 at the State Bank of India as a probationary officer. Over the years, he has held various positions, particularly in the Corporate Accounts Group, managing large corporate clients.

International Experience: He has served in SBI’s International Banking Group, with assignments in New York and Sydney, where he headed the Australian operations.

Branch Management: Nair has managed branches in Rajasthan and Western Uttar Pradesh and played a key role in the merger of State Bank of Bikaner & Jaipur with SBI.

Stressed Assets Management

Leadership in Stressed Assets: Nair has extensive experience in managing stressed assets. As Chief General Manager of SBI’s Stressed Asset Vertical starting in July 2017, he focused on resolving Non-Performing Assets (NPAs) through various strategies, including restructuring and ARC sales.

Reduction of NPAs: During his tenure, he successfully reduced SBI’s peak NPAs from 10.96% to 4.90%.

Further Roles: From September 2021 to July 2022, Nair served as Deputy Managing Director overseeing SME, agriculture, and financial inclusion. He later became the Deputy Managing Director and Chief Credit Officer of SBI.

Appointment Process

COEs and Transition: The COEs were appointed after the resignation of the previous MD and CEO, Krishnan Sankarasubramaniam, in September 2023, and the rejection of proposed candidates by the RBI in April 2024.

Shareholder Approval: Nair’s appointment as MD and CEO is subject to the approval of TMB’s shareholders.